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Pension Adjustment - PA
What does it mean?
The amount of contributions that can be made to a Registered Retirement Savings Plan (RRSP) on top of any contributions to a Registered Pension Plan (RPP) in a given year.
In Other Words...
An individual can choose to contribute this amount to a registered plan such as a Registered Retirement Savings Plan (RRSP), or he or she can defer this amount until later years when the tax deduction will be more useful.
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Related Terms
CPP | Income Tax | Pension Plan | RRSP
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